European Union Code of Conduct

In May 1998, after years of intensive
lobbying by European nongovernmental groups, the European Union became the first group of states to
accept a regional Code of Conduct. The EU Code of Conduct on Arms Exports is
a politically binding instrument that seeks to create "high common standards"
for all EU members to use when making arms export decisions and to increase
transparency among EU states on arms exports.

EU states pledge not to approve arms exports
in cases where:

the sale would violate the exporting
state's commitments under the UN Charter or specific arms control
agreements

there is a "clear risk" that the
weapons will be used for internal repression

the arms could provoke or prolong armed
conflict

there is a "clear risk" that the
arms would be used aggressively against another country.

Under the EU Code, EU members also agree to
take into account when making their export decisions:

the risk of use of weapons against allies

the risk of unintended diversion of
technology

the importing state's record on terrorism,
implementation of humanitarian law (non-use of force against civilians),
and arms control agreements

the effectiveness of the importing state's
export control laws and mechanisms

the economic situation in the importing
state, including relative levels of military and social spending

The EU Code also has a unique operative
mechanism designed to increase transparency among EU members while
discouraging states from using such information to undercut sales denials by
other EU states. EU members are to report to each other "through
diplomatic channels" when an export license has been denied based on
the Code criteria. If another state intends to grant a license for an
"essentially identical transaction" within the past three years,
it must first consult with the state that first made the denial. Member
states are also required to provide to each other "in confidence"
an annual report on their arms exports and implementation of the Code.

EU member states also pledge to try to get
other countries to subscribe to the principles of the Code. Several Central
and Eastern European states, Canada, and South Africa have all endorsed the
EU Code's principles. At the December
1999 US-EU Summit, the US also endorsed the Code principles for small
arms transfers in the US-EU Statement on Common Principles on Small Arms and
Light Weapons. The US and EU also expressed their intention to work together
on a common set of conventional arms transfer principles at the December
2000 US-EU Summit.